Zenith Minerals (ASX: ZNC) has released its consolidated interim report for the half-year ending 31 December 2019.
Split Rocks Gold & Lithium Project – WA (ZNC 100%) Zenith’s initial 16-hole drill program of approximately 2000m successfully confirmed bedrock gold targets beneath the currently operating Dulcie Heap Leach Gold Project (DHLGO) – held by a 3rd party.
As previously reported gold mineralisation (>0.5 g/t Au) was successfully intersected in 12 of Zenith’s initial 16 wide spaced drill holes (ASX release 28th October 2019). Following a detailed assessment of the mineralised drill chips additional 1m resampling was completed with new assay results expanding two of the previously reported gold mineralised intervals in holes ZDRC022 and ZDRC017 as announced on the 24th January 2020:
ZDRC022: 11m @ 2.08 g/t Au from 59m depth, incl. 6m @ 3.32 g/t Au and
ZDRC017: 4m @ 2.05 g/t Au from 30 m depth, in addition to other previously reported results of:
ZDRC020: 5m @ 3.23 g/t Au from 8m depth,
ZDRC021: 5m @ 2.04 g/t Au from 34m depth incl. 2m @ 3.94 g/t Au.
Gold mineralisation intersected to date and reported here is interpreted to be close to true width intersections. Mineralisation is hosted within quartz veined and sericite altered mafic volcanic rocks and remains open and untested along strike and down dip with evidence of multiple stacked lodes.
Drilling recommenced in January 2020 to test along strike and down-dip potential of the ZDRC022 intersection, with a further 3 holes being completed. Future drilling will now focus on the along strike potential particularly to the south of the DHLGO gold zone as well as the numerous high-quality gold targets within Zenith’s extensive, 100% owned Split Rocks landholdings.
The project was further expanded with the acquisition of 2 new licences (ASX release 14 October 2019) including new gold and lithium targets, and the Wrathchild iron ore target. A major targeting exercise by the Company’s geological team over the past 6 months has culminated in identifying 12 high-quality gold drill targets in the north eastern sector of the Company’s 100% owned Split Rocks project.
Zenith’s targeting study has identified several, large, high-order geochemical anomalies (defined by historic auger sampling max value 300ppb Au and a mix of Zenith & historic shallow RAB & aircore drilling) that have never been or were poorly drill tested. These 8 targets require first pass aircore drill testing, whilst a further 4 targets (12 in total) require follow-up RC drilling to test poorly explored open-ended gold zones such as 2m @ 6.5 g/t Au (eoh).
Laramie Rare Earth Element (REE) Project – Wyoming USA (ZNC 100%) As announced to the ASX on the 7th October 2019, initial rock grab sampling and mapping by Zenith in three key areas 2 to 3km apart returned up to 0.60% total rare earth oxides (TREO).
Follow-up sampling included nine systematic rock chip sample traverses by Zenith with five traverses across portions of the north of the initial sampling area and four across the southern zone. All nine traverses returned consistent, strong REE mineralisation along their entire lengths (ASX Release 11th November 2019), including: 80m @ 0.40% TREO, 60m @ 0.39% TREO, 40m @ 0.35% TREO, 60m @ 0.37% TREO, 137m @ 0.37% TREO, 332m @ 0.26% TREO, 72m @ 0.33% TREO, 60m @ 0.34% TREO and 17m @ 0.24% TREO.
Initial petrographic analyses confirm REEs occur predominantly as the mineral allanite. Allanite crystals observed are generally relatively coarse grained (0.4mm to 2.5mm) with distinct mineral grains indicating potential for easy liberation from the syenite host rock.
Initial metallurgical test work commenced in early January 2020 to assess the rare earth liberation characteristics of the mineralised rock as Zenith considers ease of processing to be a key to the future of this project.
Positive first pass initial tests show that both simple mineral separation techniques assessed will allow upgrading through concentration of the REE minerals. Mineral separation by magnetic methods recovered 87% of the REE minerals into 27% of the mass at a crush size of -0.5mm, whilst mineral separation using gravity methods recovered 76% of the REE minerals into 22.2% of the mass at a crush size of -2mm. Testwork is ongoing.
Red Mountain Gold – QLD (ZNC 100%) Results were received from an infill geochemical program completed to define the limits of the high-grade western gold zone outlining a robust drill target.
New high-grade soil results up to 1300ppb Au (1.3 g/t Au) supporting previous results of 2210 ppb Au (2.2g/t Au) 1600ppb Au, 550ppb Au and 320ppb Au define a 450m x 50m >100ppb Au gold soil anomaly, with the southern end of the anomaly grading >500ppb (0.5 g/t Au) over 150m of strike.
The high-grade surface gold results form a core to a much larger zone of gold anomalism (>10ppb Au) extending over an area 1200m x 150m on the western margin of the Red Mountain felsic volcanic breccia system (ZNC ASX Release 25th Nov 2019). Zenith Minerals Limited – 4 – Drill testing is planned, approximately 10 holes @ 100m depth each to test the key geochemical-geological and geophysical targets